百宏实业(02299) - 2024 - 中期财报

Company Overview Company Profile Baihong Industrial Holdings Limited is a leading developer and producer of polyester filament yarn and polyester film in China, targeting mid-to-high-end markets and expanding globally with new product lines to consolidate market position and diversify development - The company is one of China's largest developers and producers of polyester filament yarn, with products applied in mid-to-high-end markets such as apparel, footwear, and home textiles[7] Product Categories and Design Capacity (tons/year) | Product Category | Design Capacity (tons/year) | | :--------------- | :-------------------------- | | Domestic Polyester Filament Yarn Total Capacity | 2,726,400 | | - Fully Drawn Yarn & Pre-Oriented Yarn | 1,005,000 | | - Drawn Textured Yarn | 711,400 | | Domestic Polymer Products Total Capacity | 910,000 | | - BOPET Film | 702,500 | | Vietnam Polyester Filament Yarn Total Capacity | 554,300 | | - Fully Drawn Yarn & Pre-Oriented Yarn | 184,000 | | - Drawn Textured Yarn | 170,300 | | Vietnam PET Chip New Facility | 300,000 (commenced production in July 2023) | | Polyester Industrial Yarn Production Line | 250,000 (commercial production in July 2020) | | New Polyester Film Production Line | Polymerization capacity 400,000, film 228,000 (fully commenced production in November 2023) | Company Information This section lists the company's basic information, including board members, company secretary, auditor, registered office, headquarters, principal places of business, Hong Kong share registrar, principal bankers, legal advisors, and stock code, providing key contact and management details for investors - Board members include Executive Directors Mr. Shi Tianyou (Co-Chairman), Mr. Wu Jinbiao (CEO), Non-Executive Director Mr. Zhang Shengbo (Co-Chairman), and three Independent Non-Executive Directors[9] - The company's auditor is Fuyui Mazars CPA Limited, and the Hong Kong share registrar is Hong Kong Central Securities Registrars Limited[9] - The company's headquarters and principal places of business are located in Hong Kong, Jinjiang City, Fujian Province, China, and Tay Ninh Province, Vietnam, with stock code 2299[9] Corporate Structure This section is intended to detail the company's corporate structure, though specific content is not provided in the current outline Production Process of Polyester Filament Yarn and Polyester Film This section is intended to describe the production processes for polyester filament yarn and polyester film, though specific content is not provided in the current outline Production Facilities The company operates major production facilities in Jinan Industrial Zone, China, and Phu Dong Industrial Zone, Vietnam, boasting diversified product design capacities to meet domestic and international market demands - The company has Plant E in Jinan Industrial Zone, China[18] - The company has a Vietnam plant in Phu Dong Industrial Zone, Phu Dong Commune, Go Dau District, Tay Ninh Province, Ho Chi Minh City, Vietnam[20] Product Categories and Design Capacity (tons/year) | Product Category | Design Capacity (tons/year) | | :--------------- | :-------------------------- | | Fully Drawn Yarn & Pre-Oriented Yarn | 1,189,000 | | Drawn Textured Yarn | 881,700 | | BOPET | 702,500 | | BOPET Chips | 550,000 | | ES Fiber | 14,500 | | Polyester Industrial Yarn | 250,000 | Financial Highlights Financial Highlights For the six months ended June 30, 2024, the company's revenue increased by 41.5% to RMB 10,619,933 thousand, gross profit surged by 85.0% to RMB 731,906 thousand, and profit for the period grew by 62.4% to RMB 327,465 thousand, primarily driven by increased sales volume and improved gross margin Key Operating Results for the Six Months Ended June 30 | Indicator | 2024 (RMB thousand) | 2023 (RMB thousand) | Change (%) | | :--- | :------------------ | :------------------ | :------- | | Revenue | 10,619,933 | 7,504,397 | 41.5% | | Gross Profit | 731,906 | 395,609 | 85.0% | | Operating Profit | 428,392 | 310,935 | 37.8% | | Profit for the Period | 327,465 | 201,683 | 62.4% | Key Financial Position as of June 30 | Indicator | 2024 (RMB thousand) | 2023 (RMB thousand) | Change (%) | | :--- | :------------------ | :------------------ | :------- | | Non-current Assets | 12,589,555 | 13,019,375 | (3.3%) | | Non-current Liabilities | 493,649 | 1,048,484 | (52.9%) | | Current Assets | 16,066,985 | 13,440,368 | 19.5% | | Current Liabilities | 17,609,372 | 15,293,563 | 15.1% | | Net Current Liabilities | 1,542,387 | 1,853,195 | (16.8%) | | Total Equity | 10,553,519 | 10,117,696 | 4.3% | Key Ratios Analysis | Indicator | 2024 | 2023 | | :--- | :----- | :----- | | Gross Profit Margin | 6.9% | 5.3% | | Operating Profit Margin | 4.0% | 4.1% | | Net Profit Margin | 3.1% | 2.7% | | Return on Equity | 3.1% | 2.0% | | Current Ratio | 91.2% | 87.9% | | Gearing Ratio | 171.5% | 161.5% | Management Discussion and Analysis Macroeconomic and Industry Review In the first half of 2024, the global economy gradually recovered post-pandemic, with China's economy expanding steadily, and the textile and apparel industry is expected to achieve stable progress, supported by national policies and a positive macroeconomic foundation - In the first half of 2024, the global economy showed signs of recovery post-pandemic, China's long-term positive economic foundation remained unchanged, and consumption-boosting policies were implemented[21] - China's textile industry faces global economic risks and domestic structural issues, but national macroeconomic policies will focus more on stable growth and introduce supportive measures to alleviate business pressures[22] Business Review The company upholds its "healthy green products" mission, enhancing competitiveness through technological innovation, intelligent manufacturing, and talent strategy, actively expanding into new products and overseas markets, and collaborating with China Mobile to build a 5G smart factory for full industry chain layout and high-quality development - The company aims for "technological innovation to enhance corporate competitiveness," pursuing a path of integrating "production, academia, research, and application" to develop new products and increase product added value[23] - The company has pioneered fully intelligent and automated production, leveraging automation equipment to improve product quality and resilience, demonstrating strong resilience, especially during the pandemic[23] - The company emphasizes talent acquisition and development, collaborating with Donghua University to establish a talent practice base, boasting a seasoned R&D team and a large quality control team[23] - The ES fiber project commenced production in June 2020, targeting high-end customers with customized products, showing broad future demand and application prospects[24] - The G-zone project for 255,000 tons/year of functional environmentally friendly polyester film officially commenced production in December 2020, utilizing internationally advanced processes and German equipment, targeting high-end domestic and international markets[25] - The Vietnam PET chip new production facility gradually commenced commercial production in July 2023, and the polyester industrial yarn business commenced production in July 2022, positioning the company among China's top ten polyester industrial yarn producers[25][26] - The company signed a 5G new technology strategic cooperation agreement with China Mobile, deploying a 5G intelligent factory to enhance production efficiency and promote digitalization, intelligence, and flexibility[27] - The company actively expands overseas markets, with the first phase of the Vietnam "700,000 tons differentiated chemical fiber project" fully completed, aiming to build a demonstration platform for China-Vietnam production capacity cooperation[27] - The company highly values marketing channel expansion and customer service, deeply cultivating international markets, enhancing market responsiveness, and continuously improving product performance and technological upgrades[27] - Key subsidiaries Baihong Fujian and Baihong Gaoxin have both been awarded High-Tech Enterprise qualifications, with differentiated product revenue accounting for 49.6% of total revenue and R&D expenses at 2.5%[28] Financial Review The company demonstrated strong financial performance this period, with total revenue increasing by 41.5% and profit for the period growing by 62.4%, primarily due to significant sales volume growth in polyester filament yarn and polyester products, while gross margin improved, but the average selling price of polyester products slightly decreased, and all expenses increased, while income tax expenses significantly decreased Revenue Analysis Total Revenue and Major Product Revenue Comparison | Indicator | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | Change (%) | | :--- | :------------------------ | :------------------------ | :------- | | Total Revenue | 10,619,933 | 7,504,397 | 41.5% | | Polyester Filament Yarn Revenue | 4,502,961 | 3,853,583 | 16.9% | | Polyester Products Revenue | 5,227,993 | 2,777,561 | 88.2% | - The average selling price per ton of polyester filament yarn increased by 3.9% to RMB 8,808[30] - The average selling price per ton of polyester products decreased by 1.6% to RMB 6,757, but sales volume significantly increased by 91.3% to 773,671 tons[31] Revenue and Sales Volume Details (by Product) | Product Category | 2024 Revenue (RMB thousand) | 2024 Revenue Share (%) | 2023 Revenue (RMB thousand) | 2023 Revenue Share (%) | 2024 Sales Volume (tons) | 2024 Sales Volume Share (%) | 2023 Sales Volume (tons) | 2023 Sales Volume Share (%) | | :------- | :---------------------- | :----------------- | :---------------------- | :----------------- | :---------------- | :------------------- | :---------------- | :------------------- | | Polyester Filament Yarn Subtotal | 4,502,961 | 42.4% | 3,853,583 | 51.4% | 511,213 | 36.5% | 454,465 | 46.8% | | Polyester Products Subtotal | 5,227,993 | 49.2% | 2,777,561 | 37.0% | 773,671 | 55.2% | 404,518 | 41.6% | | ES Fiber | 60,361 | 0.6% | 42,830 | 0.6% | 6,656 | 0.5% | 4,657 | 0.5% | | Polyester Industrial Yarn | 828,618 | 7.8% | 830,423 | 11.0% | 108,996 | 7.8% | 107,893 | 11.1% | | Total | 10,619,933 | 100.0% | 7,504,397 | 100.0% | 1,400,536 | 100.0% | 971,533 | 100.0% | - Overseas sales revenue increased by 81.0% to RMB 3,245,309 thousand, with its share of total revenue rising from 23.9% to 30.5%, primarily driven by the Vietnam project[35] Revenue by Geographical Region | Region | 2024 (RMB thousand) | 2024 Share (%) | 2023 (RMB thousand) | 2023 Share (%) | | :--- | :------------------ | :------------- | :------------------ | :------------- | | Domestic Sales | 7,374,624 | 69.5% | 5,711,162 | 76.1% | | - Fujian Province | 4,658,977 | 43.9% | 3,659,449 | 48.8% | | - Guangdong Province | 1,369,345 | 12.9% | 1,005,415 | 13.4% | | - Other Provinces | 1,346,302 | 12.7% | 1,046,298 | 13.9% | | Overseas Sales | 3,245,309 | 30.5% | 1,793,235 | 23.9% | | - Vietnam | 542,367 | 5.1% | 326,714 | 4.4% | | - Other | 2,702,942 | 25.4% | 1,466,521 | 19.5% | | Total | 10,619,933 | 100.0% | 7,504,397 | 100.0% | Cost of Sales Analysis - Cost of sales increased by 39.1% to RMB 9,888,027 thousand, primarily due to increased sales volume[40] - The average cost of sales per ton for polyester filament yarn decreased by 2.2% to RMB 7,868, with raw materials PTA and MEG accounting for 72.8% of total cost of sales[41] - The average cost of sales per ton for polyester products decreased by 1.0% to RMB 6,463, while raw material prices slightly increased by 1.8%[42] Cost of Sales Details | Product Category | 2024 (RMB thousand) | 2024 Share (%) | 2023 (RMB thousand) | 2023 Share (%) | | :------- | :------------------ | :------------- | :------------------ | :------------- | | Polyester Filament Yarn Subtotal | 4,022,508 | 40.6% | 3,656,914 | 51.5% | | ES Fiber Subtotal | 59,304 | 0.6% | 44,018 | 0.6% | | Industrial Yarn Subtotal | 806,336 | 8.2% | 768,040 | 10.8% | | Polyester Products Subtotal | 4,999,879 | 50.6% | 2,639,816 | 37.1% | | Total | 9,888,027 | 100.0% | 7,108,788 | 100.0% | Gross Profit Analysis - Gross profit increased by 85.0% to RMB 731,906 thousand, with gross profit margin rising from 5.3% to 6.9%[47] - Polyester filament yarn gross profit margin significantly increased from 5.1% to 10.7%, with average gross profit per ton rising to RMB 940[48] - Polyester products gross profit margin decreased from 5.0% to 4.4%, with average gross profit per ton falling to RMB 294, despite steady growth in sales volume and revenue[49] Product Gross Profit Analysis | Product Category | 2024 (RMB thousand) | 2024 Share (%) | 2023 (RMB thousand) | 2023 Share (%) | | :------- | :------------------ | :------------- | :------------------ | :------------- | | Polyester Filament Yarn Subtotal | 480,450 | 65.6% | 196,669 | 49.7% | | ES Fiber Subtotal | 1,058 | 0.2% | (1,188) | (0.3%) | | Polyester Industrial Yarn Subtotal | 22,282 | 3.1% | 62,383 | 15.8% | | Polyester Products Subtotal | 228,116 | 31.1% | 137,745 | 34.8% | | Total | 731,906 | 100.0% | 395,609 | 100.0% | Average Selling Price, Cost, and Gross Profit per Ton by Product | Product Category | Indicator | 2024 (RMB) | 2023 (RMB) | | :------- | :--- | :-------------- | :-------------- | | Polyester Filament Yarn | Average Selling Price per Ton | 8,808 | 8,479 | | | Average Cost of Sales per Ton | 7,868 | 8,046 | | | Average Gross Profit per Ton | 940 | 433 | | | Average Gross Profit Margin | 10.7% | 5.1% | | ES Fiber | Average Selling Price per Ton | 9,069 | 9,197 | | | Average Cost of Sales per Ton | 8,910 | 9,452 | | | Average Gross Profit per Ton | 159 | (255) | | | Average Gross Profit Margin | 1.8% | (2.8%) | | Industrial Yarn | Average Selling Price per Ton | 7,602 | 7,697 | | | Average Cost of Sales per Ton | 7,398 | 7,119 | | | Average Gross Profit per Ton | 204 | 578 | | | Average Gross Profit Margin | 2.7% | 7.5% | | Polyester Products | Average Selling Price per Ton | 6,757 | 6,866 | | | Average Cost of Sales per Ton | 6,463 | 6,525 | | | Average Gross Profit per Ton | 294 | 341 | | | Average Gross Profit Margin | 4.4% | 5.0% | Other Income - Other income decreased by 23.0% to RMB 227,265 thousand, primarily due to reduced bank interest income, gains from raw material sales, and government grants[56] Other Gains and Losses, Net - Net other losses amounted to RMB 33,469 thousand, an increase in loss compared to the same period last year, primarily due to the combined effect of reduced net realized gains on financial instruments at fair value through profit or loss and increased net exchange losses[57] Selling and Distribution Expenses - Selling and distribution expenses increased by 55.6% to RMB 150,282 thousand, mainly due to higher transportation costs from increased sales outside Fujian Province and overseas[58] Administrative Expenses - Administrative expenses increased by 36.2% to RMB 347,028 thousand, primarily due to increased research and development expenses[59] Finance Costs - Finance costs increased by 44.7% to RMB 85,386 thousand, mainly due to higher interest related to increased bills payable[60] Income Tax - Income tax decreased by 69.1% to RMB 15,541 thousand[61] Profit for the Period - Profit for the period increased by 62.4% to RMB 327,465 thousand, primarily driven by a significant increase in total revenue due to higher overall sales volume of polyester filament yarn and polyester products[61] Profit for the Period and Net Profit Margin | Indicator | 2024 (RMB thousand) | 2024 Net Profit Margin (%) | 2023 (RMB thousand) | 2023 Net Profit Margin (%) | | :--- | :------------------ | :--------------- | :------------------ | :--------------- | | Profit for the Period | 327,465 | 3.1% | 201,683 | 2.7% | Financial Position and Capital Management As of June 30, 2024, the company's cash and cash equivalents significantly increased, with ample cash flow from operating activities, net current liabilities improved, while the gearing ratio increased, and the company plans continued investment in capacity expansion and Vietnam business development, funded by internal resources and bank loans - Cash and cash equivalents increased by 242.0% to RMB 540,811 thousand[63] - Net cash inflow from operating activities was RMB 1,397,781 thousand[63] - Inventory turnover days decreased by 21.7 days to 84.8 days, trade receivables turnover days decreased by 14.0 days to 21.0 days, and trade payables turnover days increased by 74.5 days to 369.8 days[63] - Capital commitments amounted to RMB 503,149 thousand, primarily for domestic capacity expansion and Vietnam production operations[63] - Total liabilities were RMB 18,103,021 thousand, total equity was RMB 10,553,519 thousand, and the gearing ratio was 171.5%[64] - Total bank loans were RMB 382,842 thousand, of which RMB 99,625 thousand are repayable within one year[64] - The company had no significant investments, acquisitions, or disposals, with future plans primarily related to domestic capacity expansion and Vietnam production operations, funded by internal resources and bank loans[65] - As of June 30, 2024, there were no other asset pledges or contingent liabilities[66] - Foreign exchange risk was minimal, with management closely monitoring and entering into forward foreign exchange contracts as needed, resulting in no significant gains or losses[67] - As of June 30, 2024, the Group had 9,549 employees, with remuneration policies based on performance, experience, and market conditions, and discretionary bonuses provided[68] Business Outlook The company is optimistic about global economic recovery and China's stable development in 2024, expecting polyester product prices to remain favorable due to the economic cycle and rising crude oil prices, with new product launches and cost control, the company anticipates stable business growth, and the expansion of Vietnam projects, polyester industrial yarn, and polyester film projects will further strengthen the company's scale and sales, maintaining confidence in medium-to-long-term development despite potential short-term pandemic impacts - Global economic rebound is expected to continue in 2024, with China's stable economic development stimulating consumption[69] - As the largest polyester filament yarn producer in South China, the company benefits from the economic cycle and rising crude oil prices, leading to a continuously favorable trend in polyester product prices[69] - The Vietnam polyester filament yarn project commenced production in September 2019, the polyester industrial yarn production line gradually entered commercial production, and the new PET chip production facility commenced commercial production in July 2023[69] - The polyester film production line commenced commercial production in November 2023, adding 400,000 tons/year of polymerization capacity and 228,000 tons/year of polyester film, which will be a significant driver of performance growth[69] - Upon completion of the polyester industrial yarn and polyester film project expansions, the company's scale and sales will further increase, instilling confidence in medium-to-long-term development[70] Financial Statements Unaudited Condensed Consolidated Statement of Profit or Loss For the six months ended June 30, 2024, the company reported revenue of RMB 10,619,933 thousand, gross profit of RMB 731,906 thousand, profit for the period of RMB 327,465 thousand, and basic and diluted earnings per share of RMB 0.15 Unaudited Condensed Consolidated Statement of Profit or Loss Summary | Indicator | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Revenue | 10,619,933 | 7,504,397 | | Cost of Sales | (9,888,027) | (7,108,788) | | Gross Profit | 731,906 | 395,609 | | Operating Profit | 428,392 | 310,935 | | Profit Before Tax | 343,006 | 251,940 | | Income Tax Expense | (15,541) | (50,257) | | Profit for the Period Attributable to Owners of the Company | 327,465 | 201,683 | | Earnings Per Share (RMB) | 0.15 | 0.10 | Unaudited Condensed Consolidated Statement of Comprehensive Income For the six months ended June 30, 2024, profit for the period attributable to owners of the company was RMB 327,465 thousand, with total other comprehensive loss for the period of RMB 4,151 thousand, resulting in total comprehensive income for the period of RMB 323,314 thousand Unaudited Condensed Consolidated Statement of Comprehensive Income Summary | Indicator | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Profit for the Period Attributable to Owners of the Company | 327,465 | 201,683 | | Total Other Comprehensive (Loss) Income for the Period | (4,151) | 89,898 | | Total Comprehensive Income for the Period Attributable to Owners of the Company | 323,314 | 291,581 | Unaudited Condensed Consolidated Statement of Financial Position As of June 30, 2024, the company's non-current assets were RMB 12,589,555 thousand, current assets were RMB 16,066,985 thousand, net current liabilities were RMB (1,542,387) thousand, and total equity was RMB 10,553,519 thousand Unaudited Condensed Consolidated Statement of Financial Position Summary | Indicator | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Non-current Assets | 12,589,555 | 12,975,068 | | Current Assets | 16,066,985 | 13,293,380 | | Current Liabilities | 17,609,372 | 15,549,791 | | Net Current Liabilities | (1,542,387) | (2,256,411) | | Total Assets Less Current Liabilities | 11,047,168 | 10,718,657 | | Non-current Liabilities | 493,649 | 487,397 | | Net Assets | 10,553,519 | 10,231,260 | | Total Equity | 10,553,519 | 10,231,260 | Unaudited Condensed Consolidated Statement of Changes in Equity For the six months ended June 30, 2024, profit for the period attributable to owners of the company was RMB 327,465 thousand, total other comprehensive loss was RMB 4,151 thousand, resulting in total comprehensive income of RMB 323,314 thousand, total transactions with owners amounted to RMB (1,055) thousand, and total equity at period-end was RMB 10,553,519 thousand - As of January 1, 2024, total equity was RMB 10,231,260 thousand[79] - Profit for the period was RMB 327,465 thousand, and total other comprehensive loss was RMB 4,151 thousand[79] - Total transactions with owners amounted to RMB (1,055) thousand, primarily including the purchase and cancellation of own shares[79] - As of June 30, 2024, total equity was RMB 10,553,519 thousand[79] Unaudited Condensed Consolidated Statement of Cash Flows For the six months ended June 30, 2024, the company reported net cash inflow from operating activities of RMB 1,397,781 thousand, net cash outflow from investing activities of RMB 604,521 thousand, net cash outflow from financing activities of RMB 405,676 thousand, and cash and cash equivalents at period-end of RMB 540,811 thousand Unaudited Condensed Consolidated Statement of Cash Flows Summary | Indicator | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Net Cash Generated From (Used In) Operating Activities | 1,397,781 | (1,244,946) | | Net Cash Generated From (Used In) Investing Activities | (604,521) | 264,578 | | Net Cash Generated From (Used In) Financing Activities | (405,676) | 927,804 | | Net Increase (Decrease) in Cash and Cash Equivalents | 387,584 | (52,564) | | Cash and Cash Equivalents at End of Reporting Period | 540,811 | 218,106 | Notes to the Financial Statements 1. General Information Baihong Industrial Holdings Limited was incorporated in the Cayman Islands and listed on the Hong Kong Stock Exchange, with the company and its subsidiaries primarily engaging in the manufacturing and sale of polyester filament yarn, polyester products, polyester industrial yarn, and ES fiber products - The Company was incorporated in the Cayman Islands on November 25, 2010, and listed on the Main Board of the Hong Kong Stock Exchange on May 18, 2011[81] - The Group is principally engaged in the manufacturing and sale of polyester filament yarn products, polyester products, polyester industrial yarn products, and ES fiber products[81] 2. Basis of Preparation The interim financial statements are prepared in accordance with HKAS 34 and the Listing Rules, using the historical cost basis and presented in RMB, and despite net current liabilities, the Board believes the company has sufficient working capital for continued operation based on future cash flow estimates and credit commitments - The interim financial statements have been prepared in accordance with Hong Kong Accounting Standard 34 "Interim Financial Reporting" issued by the Hong Kong Institute of Certified Public Accountants and the applicable disclosure provisions of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited[82] - The interim financial statements are prepared on a historical cost basis and presented in RMB, with all amounts rounded to the nearest thousand[82] - As of June 30, 2024, the Group recorded net current liabilities of approximately RMB 1,542,387 thousand, but the directors believe the Group will have sufficient working capital for the next twelve months, thus preparing the statements on a going concern basis[84] - New/revised Hong Kong Financial Reporting Standards adopted for the first time in this period, including HKAS 1 (Amendments) and HKAS 7 & HKFRS 7 (Amendments), did not have a significant impact on the consolidated financial statements[85] 3. Revenue and Segment Information The company operates a single reportable operating segment, primarily manufacturing and selling polyester filament yarn, polyester products, polyester industrial yarn, and ES fiber products, with revenue disaggregated by major product lines and customer geographical locations, and all revenue recognized at a point in time - The Group has only one reportable operating segment, with principal activities being the manufacturing and sale of polyester filament yarn products, polyester products, polyester industrial yarn products, and ES fiber products[86] Revenue Disaggregated by Major Product Lines | Product Line | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Polyester Filament Yarn Products | 4,502,961 | 3,853,583 | | Polyester Products | 5,227,993 | 2,777,561 | | Polyester Industrial Yarn Products | 828,618 | 830,423 | | ES Fiber Products | 60,361 | 42,830 | | Total | 10,619,933 | 7,504,397 | Revenue Disaggregated by Customer Geographical Location | Geographical Location | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | China | 7,374,624 | 5,711,162 | | Vietnam | 542,367 | 326,714 | | Other | 2,702,942 | 1,466,521 | | Total | 10,619,933 | 7,504,397 | - All revenue from contracts with customers is recognized at a point in time, and no single customer transaction exceeded 10% of total revenue[87] Geographical Location of Specific Non-current Assets | Geographical Location | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | China | 10,010,379 | 10,286,868 | | Vietnam | 2,538,365 | 2,647,029 | | Hong Kong | 40,811 | 41,171 | | Total | 12,589,555 | 12,975,068 | 4. Other Income For the six months ended June 30, 2024, other income was RMB 227,265 thousand, a 23.0% decrease from the prior year, mainly due to reduced bank interest income, government grants, and gains from raw material sales Other Income Details | Item | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Bank Interest Income | 95,084 | 110,692 | | Government Grants | 115,205 | 161,925 | | Sales of Raw Materials | 16,952 | 17,913 | | Other | 24 | 4,434 | | Total | 227,265 | 294,964 | 5. Other Gains and (Losses), Net For the six months ended June 30, 2024, net other losses amounted to RMB 33,469 thousand, primarily due to the combined effect of increased net exchange losses and reduced net realized gains on financial instruments at fair value through profit or loss Other Gains and (Losses), Net Details | Item | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Donations | (228) | (184) | | Net Exchange Losses | (51,958) | (12,423) | | Net Gains (Losses) on Disposal of Property, Plant and Equipment | 242 | (83) | | Net Unrealized Gains on Financial Instruments at Fair Value Through Profit or Loss | 12,511 | 4,760 | | Net Realized Gains (Losses) on Financial Instruments at Fair Value Through Profit or Loss | 3,432 | (12,384) | | Other | 2,532 | (7,936) | | Total | (33,469) | (28,250) | 6. Profit Before Tax For the six months ended June 30, 2024, profit before tax was derived after deducting finance costs of RMB 85,386 thousand (primarily due to increased other interest expenses), staff costs of RMB 252,674 thousand, and other items including depreciation and R&D costs Finance Costs Details | Item | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Interest on Bank Loans | 14,439 | 54,951 | | Interest on Lease Liabilities | 87 | 108 | | Other Interest Expenses | 71,119 | 6,058 | | Total Finance Costs | 85,645 | 61,117 | | Less: Capitalized in Construction in Progress | (259) | (2,122) | | Total | 85,386 | 58,995 | - Borrowing costs were capitalized at an annual interest rate of 2.44% (H1 2023: 2.32% to 4.95%)[96] Staff Costs (Including Directors' Emoluments) Details | Item | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Salaries, Wages, Allowances, and Other Benefits | 242,496 | 204,852 | | Contributions to Defined Contribution Retirement Plans | 10,178 | 7,967 | | Total | 252,674 | 212,819 | Other Items Details | Item | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Amortization of Intangible Assets | 683 | 861 | | Auditor's Remuneration | 182 | 178 | | Cost of Inventories | 9,888,027 | 7,108,788 | | Depreciation — Property, Plant and Equipment | 405,373 | 371,699 | | Depreciation — Right-of-Use Assets | 14,951 | 12,238 | | Net Provision for (Reversal of) Impairment Losses on Trade Receivables | (868) | 2,210 | | Research and Development Costs | 260,632 | 178,232 | - Cost of inventories includes staff costs of approximately RMB 607,341 thousand and depreciation of approximately RMB 72,400 thousand[97] 7. Income Tax Expense For the six months ended June 30, 2024, income tax expense was RMB 15,541 thousand, a significant decrease from the prior year, with Chinese subsidiaries enjoying a 15% high-tech enterprise income tax preferential rate, while the Vietnamese subsidiary did not provide for tax losses due to tax losses Income Tax Expense Details | Item | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Current Tax - China Corporate Income Tax | 8,377 | 41,021 | | Withholding Tax - Dividend Withholding Tax | 500 | 41 | | Deferred Tax - Origination and Reversal of Temporary Differences | 6,664 | 9,195 | | Total | 15,541 | 50,257 | - Chinese subsidiaries Baihong Fujian and Baihong Gaoxin were granted High-Tech Enterprise qualifications, enjoying a 15% preferential corporate income tax rate[99] - Enterprises engaged in R&D activities are entitled to deduct 200% of eligible R&D expenses as tax-deductible expenses[99] - The Vietnamese subsidiary, Baihong Vietnam, is exempt from income tax for two years from the first year of generating taxable profits, followed by a 50% reduction for the next four years; no provision was made for tax losses in this period due to tax losses[100] 8. Dividends The Board of Directors does not recommend the payment of an interim dividend for the six months ended June 30, 2024 - The Board of Directors does not recommend the payment of an interim dividend for the six months ended June 30, 2024, and 2023[101] 9. Earnings Per Share For the six months ended June 30, 2024, basic and diluted earnings per share attributable to owners of the company increased to RMB 0.15, up from RMB 0.10 in the prior year Earnings Per Share Calculation Data | Indicator | H1 2024 | H1 2023 | | :--- | :----------- | :----------- | | Profit Attributable to Owners of the Company for Basic EPS Calculation (RMB thousand) | 327,465 | 201,683 | | Weighted Average Number of Ordinary Shares | 2,118,447,000 | 2,118,965,459 | | Basic and Diluted Earnings Per Share (RMB) | 0.15 | 0.10 | - There were no potential dilutive ordinary shares for the six months ended June 30, 2024, and 2023, so diluted earnings per share were the same as basic earnings per share[103] 10. Property, Plant and Equipment As of June 30, 2024, the net book value of the company's property, plant, and equipment decreased, and the balance of construction in progress also declined, reflecting the transfer of some construction in progress to other property, plant, and equipment Changes in Other Property, Plant and Equipment | Item | H1 2024 (RMB thousand) | FY 2023 (RMB thousand) | | :--- | :------------------------ | :---------------------- | | At Beginning of Reporting Period | 11,156,676 | 9,881,152 | | Additions | – | 211 | | Transferred from Construction in Progress | 132,923 | 2,016,651 | | Disposals | (119) | (433) | | Depreciation Expense | (405,373) | (753,545) | | At End of Reporting Period | 10,860,725 | 11,156,676 | Changes in Construction in Progress | Item | H1 2024 (RMB thousand) | FY 2023 (RMB thousand) | | :--- | :------------------------ | :---------------------- | | At Beginning of Reporting Period | 539,105 | 1,486,270 | | Additions | 59,400 | 1,049,539 | | Transferred to Other Property, Plant and Equipment | (132,923) | (2,016,651) | | At End of Reporting Period | 465,352 | 539,105 | Net Book Value of Right-of-Use Assets | Item | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Leasehold Land Interests Held for Own Use | 1,081,180 | 1,097,429 | | Buildings Leased for Own Use | 959 | 1,282 | | Total | 1,082,139 | 1,098,711 | 11. Inventories As of June 30, 2024, the company's total inventories amounted to RMB 4,686,779 thousand, an increase from the end of 2023, primarily reflecting growth in raw materials and finished goods inventory Inventories Details | Item | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Raw Materials | 624,060 | 536,728 | | Work in Progress | 225,183 | 239,640 | | Finished Goods | 3,837,536 | 3,698,402 | | Total | 4,686,779 | 4,474,770 | 12. Trade and Other Receivables As of June 30, 2024, total trade and other receivables significantly increased to RMB 4,759,641 thousand from the end of 2023, mainly driven by increased discounted bills receivable and prepayments for raw materials, with most trade receivables and bills receivable due within 1 month Trade and Other Receivables Details | Item | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Trade Receivables (Net of Impairment Provision) | 1,167,778 | 899,517 | | Bills Receivable | 91,546 | 274,553 | | Deposits, Prepayments, and Other Receivables | 3,676,505 | 2,241,853 | | Less: Non-current Portion | (176,188) | (174,742) | | Total | 4,759,641 | 3,241,181 | - Discounted bank acceptance bills of approximately RMB 5,784,878 thousand and endorsed bank acceptance bills of approximately RMB 85,041 thousand were derecognized as financial assets[110] Ageing Analysis of Trade Receivables and Bills Receivable | Ageing | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Within 1 Month | 1,245,107 | 1,152,588 | | 1 to 2 Months | 10,014 | 14,299 | | 2 to 3 Months | 1,185 | 5,384 | | Over 3 Months | 3,018 | 1,799 | | Total | 1,259,324 | 1,174,070 | 13. Financial Assets at Fair Value Through Profit or Loss As of June 30, 2024, total financial assets at fair value through profit or loss amounted to RMB 55,296 thousand, primarily comprising unlisted investment funds and financial instrument contracts, with fair values determined by reference to financial institution quotations Financial Assets at Fair Value Through Profit or Loss Details | Item | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Unlisted Investment Funds | 30,000 | – | | Financial Instrument Contracts at Fair Value Through Profit or Loss | 25,296 | 32,386 | | Total | 55,296 | 32,386 | - All financial assets at fair value through profit or loss are measured using Level 1 (quoted prices in active markets) or Level 2 (significant other observable inputs) fair value hierarchy[116][117] 14. Restricted Bank Deposits As of June 30, 2024, total restricted bank deposits amounted to RMB 6,024,458 thousand, primarily pledged for bank loans and bills payable - Restricted bank deposits of approximately RMB 221,502 thousand are pledged to banks for certain bank loans[118] - Restricted bank deposits of approximately RMB 5,802,956 thousand are pledged to banks for bills payable[118] 15. Cash and Cash Equivalents As of June 30, 2024, the company's bank balances and cash amounted to RMB 540,811 thousand, a significant increase from the end of 2023 Cash and Cash Equivalents Details | Item | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Bank Balances and Cash | 540,811 | 158,138 | 16. Trade and Other Payables As of June 30, 2024, total trade and other payables increased to RMB 16,975,268 thousand from the end of 2023, mainly driven by a significant increase in bills payable, with most payables due within 3 months Trade and Other Payables Details | Item | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Trade Payables | 2,151,905 | 2,327,575 | | Bills Payable | 14,242,528 | 11,707,191 | | Other Payables and Accrued Expenses | 222,952 | 316,593 | | Salaries and Welfare Payable | 53,546 | 48,109 | | Interest Payable | 7,840 | 6,887 | | Equipment Payables | 61,168 | 27,301 | | Construction Payables | 64,247 | 108,970 | | Accrued Land Costs | 4,453 | 4,453 | | Other Taxes Payable | 166,629 | 182,657 | | Total | 16,975,268 | 14,729,736 | - All trade and other payables are expected to be settled within one year or repayable on demand[120] Ageing Analysis of Trade Payables and Bills Payable | Ageing | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Within 3 Months | 9,223,963 | 5,458,446 | | Over 3 Months but Within 6 Months | 3,672,962 | 4,796,134 | | Over 6 Months but Within 1 Year | 3,417,932 | 3,711,238 | | Over 1 Year | 79,576 | 68,948 | | Total | 16,394,433 | 14,034,766 | 17. Bank Loans As of June 30, 2024, total bank loans amounted to RMB 382,842 thousand, with RMB 99,625 thousand repayable within one year, and bank loans are secured by restricted bank deposits, buildings held for own use, and guarantees from subsidiaries Bank Loan Repayment Schedule | Term | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Within 1 Year or On Demand | 99,625 | 417,078 | | After 1 Year but Within 2 Years | 191,625 | 2,467 | | After 2 Years but Within 5 Years | 91,592 | 281,071 | | Total | 382,842 | 700,616 | - Secured bank loans are pledged by approximately RMB 221,502 thousand of restricted bank deposits, approximately RMB 40,558 thousand of buildings held for own use, and corporate guarantees provided by Baihong Fujian and Baihong Gaoxin[125] Bank Loan Effective Interest Rate Range | Interest Rate Type | 2024 (%) | 2023 (%) | | :--- | :--------- | :--------- | | Fixed Rate Bank Loans | 2.00–2.80 | 2.00–2.55 | | Variable Rate Bank Loans | 6.73 | 5.58 | 18. Lease Liabilities As of June 30, 2024, the present value of the company's lease liabilities was RMB 2,629 thousand, with RMB 447 thousand repayable within one year, and the weighted average incremental borrowing rate was 5.56% per annum Lease Liabilities Maturity Profile | Term | June 30, 2024 Present Value of Minimum Lease Payments (RMB thousand) | June 30, 2024 Total Minimum Lease Payments (RMB thousand) | | :--- | :----------------------------------------- | :--------------------------------------- | | Within 1 Year | 447 | 653 | | After 1 Year but Within 2 Years | 81 | 165 | | After 2 Years but Within 5 Years | 85 | 392 | | After 5 Years | 2,016 | 3,989 | | Present Value of Lease Liabilities | 2,629 | 2,629 | | Less: Future Finance Charges | | (2,570) | - As of June 30, 2024, the Group's weighted average incremental borrowing rate for lease liabilities was 5.56% per annum (December 31, 2023: 4.77%)[129] 19. Share Capital As of June 30, 2024, the company's issued share capital was 2,118,380,000 shares with a nominal value of HKD 21,183,800, and during the period, the company repurchased and cancelled some shares, leading to a reduction in issued share capital Authorized and Issued Share Capital | Item | Par Value (HKD) | Number of Shares | Nominal Value of Ordinary Shares (HKD) | RMB | | :--- | :---------- | :------- | :-------------------- | :----- | | Authorized Share Capital | 0.01 | 10,000,000,000 | 100,000,000 | | | Issued and Fully Paid as of January 1, 2023 | 0.01 | 2,118,986,000 | 21,189,860 | 17,819,454 | | Shares Repurchased and Cancelled | 0.01 | (278,000) | (2,780) | (2,337) | | Issued and Fully Paid as of June 30, 2024 | 0.01 | 2,118,380,000 | 21,183,800 | 17,814,358 | Purchase and Cancellation of Own Shares | Year/Month of Repurchase | Number of Shares | Highest Price Paid Per Share (HKD) | Lowest Price Paid Per Share (HKD) | Total Price Paid (RMB thousand) | | :---------- | :------- | :-------------------- | :-------------------- | :------------------------ | | Repurchased Aug-Dec 2023 and Cancelled H1 2024 | 158,000 | 4.19 | 3.96 | 591 | | Repurchased Jan-Apr 2024 and Cancelled H1 2024 | 120,000 | 4.40 | 4.06 | 464 | | Repurchased May-Jun 2024 and Cancelled Jul 2024 | 574,000 | 4.35 | 4.11 | 2,217 | | Total | 852,000 | | | 3,272 | - For the six months ended June 30, 2024, the company repurchased 694,000 shares, of which 120,000 shares were cancelled, and the remaining 574,000 shares were cancelled in July 2024[136] 20. Capital Commitments As of June 30, 2024, the company's total unfulfilled capital commitments amounted to RMB 503,149 thousand, with the majority being contracted projects Capital Commitments Details | Item | June 30, 2024 (RMB thousand) | December 31, 2023 (RMB thousand) | | :--- | :------------------------- | :-------------------------- | | Authorized but Not Contracted | 13,348 | – | | Contracted | 489,801 | 234,793 | | Total | 503,149 | 234,793 | 21. Significant Related Party Transactions For the six months ended June 30, 2024, total key management personnel remuneration amounted to RMB 2,597 thousand, with no other significant related party transactions Key Management Personnel Remuneration | Item | H1 2024 (RMB thousand) | H1 2023 (RMB thousand) | | :--- | :------------------------ | :------------------------ | | Salaries, Wages, Allowances, and Benefits in Kind | 2,567 | 2,583 | | Contributions to Retirement Plans | 30 | 28 | | Total | 2,597 | 2,611 | - Save for key management personnel remuneration, the Group had no other significant related party transactions for the six months ended June 30, 2024, and 2023[140] Corporate Governance Share Schemes For the six months ended June 30, 2024, the company had no share option schemes or share award schemes - For the six months ended June 30, 2024, the Company had no share option schemes or share award schemes[152] Compliance with Corporate Governance Code The company has complied with the code provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules for the six months ended June 30, 2024 - The Company has complied with the code provisions of the Corporate Governance Code set out in Appendix C1 of the Listing Rules for the six months ended June 30, 2024[152] Compliance with Model Code The company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules and confirms that all directors complied with it during the reporting period - The Company has adopted the Model Code for Securities Transactions by Directors of Listed Issuers as set out in Appendix C3 of the Listing Rules and confirms that all directors complied with the said code for the six months ended June 30, 2024[153] Audit Committee The company has established an Audit Committee comprising three independent non-executive directors, responsible for reviewing and overseeing the Group's financial reporting process, risk management, and internal control systems, and has reviewed the unaudited interim financial information for this period - The Audit Committee comprises three independent non-executive directors: Mr. Yu Weiming (Chairman), Mr. Lin Jianming, and Mr. Shi Chunbi[154] - The primary responsibilities of the Audit Committee are to review and oversee the Group's financial reporting process, risk management, and internal control systems[154] - The Audit Committee has reviewed the Group's unaudited interim financial information for the six months ended June 30, 2024[154] Other Information Interim Dividend The Board of Directors has decided not to declare an interim dividend for the six months ended June 30, 2024 - The Board of Directors has decided not to declare an interim dividend for the six months ended June 30, 2024 (2023 interim dividend: nil)[142] Directors' and Chief Executive's Interests and Short Positions in Shares, Underlying Shares, and Debentures As of June 30, 2024, Mr. Shi Tianyou and Mr. Wu Jinbiao held long positions of 30.39% and 6.46% respectively in the company's ordinary shares through controlled corporations, with no other directors or chief executives holding disclosable interests or short positions in shares Directors' Long Positions in the Company's Ordinary Shares | Director's Name | Nature of Interest | Number of Ordinary Shares Held | Percentage of the Company's Issued Share Capital | | :------- | :------- | :------------------- | :------------------------- | | Mr. Shi Tianyou | Interest in Controlled Corporation | 643,720,000 | 30.39% | | Mr. Wu Jinbiao | Interest in Controlled Corporation | 136,820,000 | 6.46% | - Mr. Shi Tianyou owns 100% interest in Di Quan Limited, which directly owns 643,720,000 shares of the Company[143] - Mr. Wu Jinbiao owns 100% interest in Yun Ying Investment Limited, which directly owns 136,820,000 shares of the Company[143] - As of June 30, 2024, no other directors or chief executives held interests or short positions in shares, underlying shares, or debentures required to be disclosed under the Securities and Futures Ordinance[144] Substantial Shareholders' and Other Persons' Interests and Short Positions in Shares and Underlying Shares As of June 30, 2024, Hong Kong Rong An Investment Co., Ltd. and its affiliates held 36.86% of the company's shares, Di Quan Limited and Yun Ying Investment Limited held 30.39% and 6.46% respectively, and The Export-Import Bank of China held a 14.16% share mortgage interest Substantial Shareholders' and Other Persons' Interests and Short Positions in Shares and Underlying Shares | Name of Substantial Shareholder/Person | Capacity | Number of Ordinary Shares Held | Percentage of the Company's Issued Share Capital | | :---------------- | :--- | :------------------- | :------------------------- | | Hong Kong Rong An Investment Co., Ltd. | Beneficial Owner | 780,870,808 | 36.86% | | Chongqing CECEP Industrial Co., Ltd. | Interest in Controlled Corporation | 780,870,808 | 36.86% | | CECEP Energy Conservation Technology Co., Ltd. | Interest in Controlled Corporation | 780,870,808 | 36.86% | | China Energy Conservation and Environmental Protection Group | Interest in Controlled Corporation | 780,870,808 | 36.86% | | Di Quan Limited | Beneficial Owner | 643,720,000 | 30.39% | | Yun Ying Investment Limited | Beneficial Owner | 136,820,000 | 6.46% | | Mr. Huang Shaorong | Beneficial Owner | 19,425,000 | 0.92% | | Yong Mao Global Trading Limited | Beneficial Owner | 188,532,000 | 8.90% | | Mr. Lin Haibin | Beneficial Owner | 27,723,000 | 1.31% | | Haibin International Investment Limited | Beneficial Owner | 170,140,000 | 8.03% | | The Export-Import Bank of China | Person with Share Mortgage Interest | 300,000,000 | 14.16% | - Chongqing CECEP, CECEP Technology, and China Energy Conservation are all deemed to have interests in Hong Kong Rong An's shares through controlled corporate relationships[147] Purchase, Sale or Redemption of Listed Securities For the six months ended June 30, 2024, the company repurchased a total of 694,000 shares on the Stock Exchange, of which 120,000 shares were cancelled, and the remaining 574,000 shares were cancelled in July 2024, and the company currently holds no treasury shares Details of Share Repurchases | Date | Number of Shares Repurchased | Highest Price Paid Per Share (HKD) | Lowest Price Paid Per Share (HKD) | Total Price Paid (HKD) | | :--- | :----------- | :---------------- | :---------------- | :-------------- | | January 3, 2024 | 32,000 | 4.14 | 4.06 | 131,560 | | January 17, 2024 | 16,000 | 4.1 | 4.06 | 65,360 | | March 28, 2024 | 10,000 | 4.3 | 4.3 | 43,000 | | April 9, 2024 | 10,000 | 4.4 | 4.4 | 44,000 | | April 12, 2024 | 10,000 | 4.27 | 4.27 | 42,700 | | April 22, 2024 | 10,000 | 4.4 | 4.4 | 44,000 | | April 24, 2024 | 18,000 | 4.38 | 4.22 | 77,880 | | April 26, 2024 | 14,000 | 4.4 | 4.4 | 61,600 | | May 30, 2024 | 6,000 | 4.35 | 4.35 | 26,100 | | June 12, 2024 | 10,000 | 4.25 | 4.25 | 42,500 | | June 21, 2024 | 100,000 | 4.28 | 4.17 | 423,100 | | June 24, 2024 | 86,000 | 4.2 | 4.18 | 361,000 | | June 25, 2024 | 172,000 | 4.3 | 4.11 | 727,140 | | June 27, 2024 | 126,000 | 4.2 | 4.15 | 526,300 | | June 28, 2024 | 74,000 | 4.35 | 4.25 | 316,100 | | Total | 694,000 | | | 2,932,340 | - For the six months ended June 30, 2024, neither the Company nor any of its subsidiaries purchased, sold, or redeemed any other listed securities of the Company[150] - As of June 30, 2024, the Company did not hold any treasury shares[150] Changes in Directors' Information No other information regarding directors is required to be disclosed under Listing Rule 13.51B(1) during this reporting period - No other information regarding directors is required to be disclosed under Listing Rule 13.51B(1)[151]